Michaela
The Trump administration has moved closer to approving rules that would let the Internal Revenue Service (IRS) access Americans’ foreign cryptocurrency accounts for taxation by joining the global Crypto-Asset Reporting Framework (CARF).
Key Points
- The Office of Information and Regulatory Affairs’ website shared that the Treasury Department submitted proposed rules to the White House on November 14 regarding U
- participation in an international crypto tax reporting framework
- Earlier this year, the White House urged the Treasury Department and the IRS to implement rules that would bring the U
The Office of Information and Regulatory Affairs’ website shared that the Treasury Department submitted proposed rules to the White House on November 14 regarding U.S. participation in an international crypto tax reporting framework.
Earlier this year, the White House urged the Treasury Department and the IRS to implement rules that would bring the U.S. into the CARF, a global initiative enabling member countries to automatically share information on citizens’ cryptocurrency holdings to combat international tax evasion.
Several countries, including Japan, France, Canada, the United Kingdom, Germany, and Italy, as well as major crypto hubs like Singapore and the UAE, have already committed to CARF.
Related: Teachers Warn Crypto Legislation Could Put Retirement Funds at Serious Risk
CARF Rules and What They Mean for SHIB Holders
The proposed CARF rules could significantly impact SHIB holders with assets in foreign exchanges or wallets. While the regulations don’t single out SHIB, they increase reporting requirements and transparency, meaning U.S. investors must track and declare their overseas holdings more carefully.
For active traders, this may affect how they move tokens across borders or select exchanges, as failing to comply could result in penalties. Long-term holders may also need to reassess their portfolio strategies, considering both tax exposure and the administrative burden of reporting.
Related: Silk Road Bitcoin Wallets Wake After 10 Years, Move $3M Suddenly
Moreover, CARF could influence the broader Shiba Inu ecosystem by encouraging holders to favor domestic platforms that simplify compliance. Decentralized finance (DeFi) users who interact with cross-border liquidity pools or staking protocols might face additional scrutiny, making accurate record-keeping essential.
Overall, while the rules aim to curb tax evasion, they also spotlight the growing intersection of global crypto regulation and everyday investor responsibilities, emphasizing that even community-driven tokens like SHIB are not insulated from international financial oversight.
MICHAELA
Michaela is a news writer focused on cryptocurrency and blockchain topics. She prioritizes rigorous research and accuracy to uncover interesting angles and ensure engaging reporting. A lifelong book lover, she applies her passion for reading to deeply explore the constantly evolving crypto world.
